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27.02.2026 - 05:31A large-scale scheme to embezzle funds from Ukraine’s defense budget has been uncovered within the Air Force of the Armed Forces of Ukraine.
This was reported by the Security Service of Ukraine (SBU) press office.
It said the Air Force Command’s head of logistics and the head of the SBU directorate in Zhytomyr region have been detained.
According to the investigation, the suspects organized a scheme to misappropriate state funds during the construction of additional protective structures at operational airfields used by the Defense Forces. In May 2025, UAH 1.4 billion (about €27.47 million) was allocated to build prefabricated arch-type shelters.
“Inspections showed that the projects did not meet safety requirements, the shelters did not provide adequate protection for aircraft, and the cost of the work was inflated. Despite this, advance payments began to be transferred to contractors. To stop inspections and conceal the misappropriation, officials, according to the investigation, arranged the transfer of an unlawful benefit totaling about UAH 13 million (€255092,” the statement said.

SBU internal security officers detained both suspects “in the act” while they were receiving $320,000.
The officials are now being prepared for formal notice of suspicion under the article covering misappropriation, embezzlement, or seizure of property through abuse of office (Article 191 of Ukraine’s Criminal Code).
Earlier, it was reported that under the “Dishonest Procurement” program, law enforcement recorded losses of UAH 3.2 billion (about €62.79 million) during procurements for the Defense Forces. In 19 criminal cases, 39 people have been notified of suspicion, including over schemes involving the purchase of fuel wood in Odesa and Mykolaiv regions.





